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You probably are asking yourself why motor traders need mechanics insurance besides the reasons that you already know. As one engaged in this type of business, you have a responsibility to care for your business, your customers, your employers, and above all, YOU. Here are more reasons for the need to get motor insurance.
Customers Ask For It

Hopefully, someone has already asked you if you have a policy. Customers know that it is an integral part of the business and if you dont have motor traders insurance, no one will take part in your business.

People even ask what type of insurance you carry. If you only have the minimum insurance coverage required by law, it doesnt create a good impression on you. A wider insurance coverage is something you can boast of in your advertising and marketing campaigns.

Financial Protection

If theres something you should partner with to protect your finances, its an insurance policy. All stipulations in an insurance contract are somehow or fully related to money matters.
If your customer has been injured while driving one of your vehicles, he will find a reason to file a case and get monetary compensation. If you dont have insurance to cover the injury, you will have to make an out-of-pocket expense.
In addition, the law will penalize you for not having insurance. The penalty can be a short jail term or a fine that can significantly turn the tables for your business.
Accidents Do Happen

This is something nobody can deny. Here are the statistics from the UK government: 144,891 road traffic accidents were reported in 2009, and there were 1,478 cases of injury involving employees working on vehicle maintenance and repair.
So, expect bad things to happen, and when they do happen, make sure you have a policy to save your day. Having even just the minimum third party motor trade insurance can significantly reduce expenses associated with accidents, loss, and injury on your customers.
Maintain good relationships and dealings with your customers, because if they like the way you do business with them, they might spare you from making payments for things not covered by your policy.
Cars, Life, and Property Are Really Important

Not all customers are merciful, forgiving, and understanding, especially when they place such high importance on their valuables not to mention the lives of their family. It is easier to understand if it is just a refrigerator or a toaster that is involved. Therefore, expect to deal with a lot of lawsuits if your employees or you yourself are not careful with your customers.
In terms of liability, it is possible that you can kill a customer within your premises or while using a vehicle that you have repaired. Furthermore, you are responsible for protecting the lives of the people employed in your business. The employers liability coverage is your best protection if one of them died because of your negligence.
Just think about this: Always put yourself in the shoes of your customers and the people under your care. Whats important to you is also important to them.